XLM Correction
BTC seems to be taking its time in correction or retracing before making up its mind about what it wants to do. Coupled with the fact that institutional investment hasn't slowed it seems that our Bull Run has in fact been the result of institutional investing more than anything else. This means the long awaited Alt Coin Rally is still a ways off but that when it does hit, it will be driven to astronomical heights thanks to the institutional investments that began around August of last year, or perhaps earlier.
What does that mean for XLM?
In the short term the most reasonable price point is the previous low of .314 to have a 47% retracement to continue on the parabolic trend like it has for the previous two legs. Otherwise the next options are the Major supports at .27 and .182 respectively. Those values being 44.5% and 70% retracements respectively. These values would coincide with breakdowns with BTC movements, and previous behaviors from ATH levels of which are quite reminiscent of the 2017 rally. If that is the case then the most logical bottom for XLM is actually just over 18 cents. This could happen in a very short amount of time such as a couple weeks or about 4 months. Once that level is reached, depending of course which level, it will either go back to previous ATH at around .608 or skyrocket by a factor of 50 to $7.40.
All that to say this, I am setting buy points at .32, .27 and .182 and will be adjusting them if I am awake to do so based on whatever BTC chooses to do. BTC may very well break down to the 40k range or even 20k ranges in short order, which would push XLM to the .20's and teens. Unfortunately, every ounce of price action that we can predict from XLM is 100% reliant upon the actions of BTC. So if BTC retraces and bounces back early then so will the retracement of XLM take longer. XLM must meet the .32 - .314 threshold first in order to continue its parabolic pattern, otherwise it would have done so already... beyond that is anyone's guess, and up to the BTC community to decide...
What do you guys think
*Not financial advice*
What does that mean for XLM?
In the short term the most reasonable price point is the previous low of .314 to have a 47% retracement to continue on the parabolic trend like it has for the previous two legs. Otherwise the next options are the Major supports at .27 and .182 respectively. Those values being 44.5% and 70% retracements respectively. These values would coincide with breakdowns with BTC movements, and previous behaviors from ATH levels of which are quite reminiscent of the 2017 rally. If that is the case then the most logical bottom for XLM is actually just over 18 cents. This could happen in a very short amount of time such as a couple weeks or about 4 months. Once that level is reached, depending of course which level, it will either go back to previous ATH at around .608 or skyrocket by a factor of 50 to $7.40.
All that to say this, I am setting buy points at .32, .27 and .182 and will be adjusting them if I am awake to do so based on whatever BTC chooses to do. BTC may very well break down to the 40k range or even 20k ranges in short order, which would push XLM to the .20's and teens. Unfortunately, every ounce of price action that we can predict from XLM is 100% reliant upon the actions of BTC. So if BTC retraces and bounces back early then so will the retracement of XLM take longer. XLM must meet the .32 - .314 threshold first in order to continue its parabolic pattern, otherwise it would have done so already... beyond that is anyone's guess, and up to the BTC community to decide...
What do you guys think
*Not financial advice*
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.